In South Africa, some flower growers have managed to gain a foothold in the much coveted African flower market, one still dominated by Kenya. But unlike most of its continental rivals, the Timbali company is investing in its workers, all of whom originate from poor rural communities.
“The initial idea was to offer people from underprivileged backgrounds the chance to participate in the economic mainstream”, explains Mauritz Lombaard, one of the nine directors of the Timbali technology incubator that lies just a few hundred metres from the administrative buildings of Nelspruit, the capital of Mpumalanga Province. The company is built on the ‘cluster’ model and is a grouping of several micro-companies. “The aim”, continues Mr. Lombaard, “is to share a common infrastructure, such as the water purification system, transport costs, supply and marketing. That way we achieve economies of scale that facilitate our access to the market”.
Timbali owns the infrastructures and the farmers who work there rent the services. “It is an incubation process”, explains Lombaard. “In the first six months we look at whether the candidates are really ready to make the commitment. We then train them for two or three years before offering them places on management courses. After that, they are free to return to their land and produce under franchise. In that case they have access to production grants.” The company is supported in its activities by the SEDA (Small Enterprise Development Agency) government agency, which helps small businesses, as well as by other institutions, including the European Union.
In this way the Nelspruit incubator gives black people from poor communities – “most of them can hardly read or write” – the chance to acquire the skills to enter a South African agriculture sector in which farmers must face heavily subsidised competition, often poor soils and severely limited water resources.
Wisdom
At present Timbali markets mainly Gerbera. “With an annual production of 2 million flowers, we are without doubt Africa’s biggest producer of this flower”, adds Lombaard. The flowers are sold throughout the province and as far away as the rich province of Gauteng , while awaiting an opening on the much coveted export market. Unless the bosses are wise enough to look first to the continental market, having witnessed just how hard the major Kenyan flower growers were hit when the volcanic eruption on Iceland grounded all air transport. But the company is thinking big. Around the greenhouses, thousands of lemon and other fruit trees have been planted and alongside these intensive plantations, two hectares are given over to biological market gardening, with pesticide-free production. Another potential market perhaps?